Empathy Wines of California said Wednesday it was acquired by New York-based Constellation Brands Inc., one of the largest alcohol producers in the U.S.
Cole Schotz PC represented Empathy Wines, led by member James Stefanick and associate Rimma Tsvasman, with assistance from member Jeff Schechter, all from the firm’s Hackensack office. Associate Philip Hirschfeld also worked on the tax elements of the transaction.
Terms of the deal were not disclosed.
Constellation Brands owns several popular beer, wine and spirits labels including Corona, Svedka and Kim Crawford, among many others.
Empathy, a direct-to-consumer wine brand that was co-founded by entrepreneur and media personality Gary Vaynerchuk with business partners Jon Troutman and Nate Scherotter, makes sustainable wines sold through an e-commerce platform using digital marketing with a price point of $20 a bottle.
As part of the purchase, Constellation Brands will work with Empathy Wines to further scale the brand’s growth, while leveraging its consumer insights and analytics, brand building expertise, and digital technology to build digital capabilities.
“I think this puts [Empathy] in a very strong position to being one of the more successful $20 wine brands in America,” said Vaynerchuk in a press release.
As part of the deal, Empathy’s employees will join Constellation’s wine and spirits team, with Troutman and Scherotter overseeing day-to-day operations. Vaynerchuk will stay on in a consulting role.